The ASEAN Audit Regulators Group (AARG) and Financial Statements Surveillance Group (FSSG) recently held a workshop hosted by the Securities Commission Malaysia (SC) to strengthen audit quality and financial reporting compliance in the region.
The event brought together regulators and industry leaders from Hong Kong, India, Indonesia, Malaysia, Singapore, Thailand and the Philippines.
As part of ongoing efforts by ASEAN members of the International Forum of Independent Audit Regulators (IFIAR), the workshop served as a platform for collaboration and knowledge sharing.
Participants discussed key regulatory issues including the implementation of the new International Standard on Quality Management (ISQM) requirements affecting audit firms and approaches to ISQM 1 reviews across ASEAN.
A unique aspect of the workshop was the focus on enforcement and communication strategies, building on efforts to drive impactful enforcement of audit regulations. The AARG also had discussions with the regional leadership of three global network audit firms.
The FSSG workshop addressed the importance of consistency in financial reporting. This is a common challenge for regulators in today’s globalised financial markets as consistent reporting helps to ensure more accurate assessments of the financial statements. Consistent financial reporting also eases comparability within a company over time and across different companies, industries, and jurisdictions.
The workshop further explored effective surveillance strategies and approaches, including greater technology integration.
The audit and surveillance regulators reaffirmed the importance of compliance with financial reporting regulations in promoting market integrity and enhancing investor protection.
